Impact at PIDG

Impact, defined as tangible positive changes to people’s lives and to the planet, is at the core of investment decision making at PIDG. We recognise that to deliver impact, we must ensure a bedrock of strong Health Safety Environmental Social (HSES) risk management and governance.

At PIDG, impact management includes managing risk and adverse impacts while pursuing positive opportunities through strategic capital allocation.

Mobilising finance, accelerating impact

Delivering urgent progress on the SDGs while unlocking and deploying climate finance is the most critical agenda in the markets in which PIDG operates. For each investment, we assess the expected contribution to the SDGs, identifying the main SDGs and the most relevant indicators to which the investment contributes. To learn more about how our work contributes and aligns to the SDGs, click here.

With the SDGs as a frame, we aim to deliver tangible positive outcomes for people, planet, the wider economy, and market transformation through our work. Climate and nature, together with gender and inclusion, are the investment lenses that we use to maximise impact.

PIDG’s approach to impact management

Our end-to-end impact management system includes a systematic approach to assessing and monitoring impact. We manage adverse outcomes, evaluate positive impacts, and learn from our findings. More details can be found in our latest annual disclosure statement to the Operating Principles for Impact Management, for which we are a founding signatory.

PIDG’s approach to impact is two-fold:

To identify, mitigate and manage HSES risks and adverse impacts, through PIDG’s HSES management system
To drive and demonstrate tangible, positive impact on people and planet, the wider economy and infrastructure capital markets through PIDG’s wider impact management system, striving for sustainable development.

Holding risks and opportunities in balance

We create change through strategic capital allocation for sustainable development. With every decision we make and every project and partnership we enter, we consider the risks and opportunities related to people and planet.

For example, we consider the beneficial effects impact new infrastructure has on communities alongside the benefits that new and improved access to infrastructure can bring. We consider how nature and biodiversity will be affected while taking into account the ripple effect of nature-positive capital allocation.

Raising the bar for HSES

At PIDG we made a strategic commitment to make safety a central value of our system. We practice Health, Safety, Environment, Social Governance (HSES Governance) rather than ESG alone.

PIDG follows Good International Industry Practice including:

Deploying capital for maximum impact

With every step we take, we carefully study and consider the potential benefits and downsides, making the moves that bring us closer to achieving our mission of getting infrastructure finance moving and multiplying – accelerating climate action and sustainable development where most urgently needed.

We focus on countries with the greatest investment needs, particularly least-developed countries and fragile and conflict-affected states (FCAS). Throughout our decision-making process, we emphasize mobilizing private sector participation to maximize impact and sustainability.

More information on this approach can be found in the disclosures section of the latest PIDG Sustainability and Impact report.